Jin-Tan Liu

National Health Insurance and precautionary saving: evidence from Taiwan

Abstract By reducing uncertainty about future medical expenses, comprehensive health insurance can reduce households’ precautionary saving. We examine this effect using Taiwan micro-data spanning the 1995 introduction of National Health Insurance. The effects of National Health Insurance are identified using employment-based variation in prior insurance coverage. Replacement of the households’ prior insurance coverage with National Health Insurance is exogenous to the household, so our estimates are not subject to selection bias. Compared with the preceding government insurance programs, National Health Insurance reduced saving by an average of 8.6–13.7% with the largest effects for households with the smallest saving.

Hospital ownership and performance: Evidence from stroke and cardiac treatment in Taiwan

This paper compares program expenditure and treatment quality of stroke and cardiac patients between 1997 and 2000 across hospitals of various ownership types in Taiwan. Because Taiwan implemented national health insurance in 1995, the analysis is immune from problems arising from the complex setting of the U.S. health care market, such as segmentation of insurance status or multiple payers. Because patients may select admitted hospitals based on their observed and unobserved characteristics, we employ instrument variable (IV) estimation to account for the endogeneity of ownership status. Results of IV estimation find that patients admitted to non-profit hospitals receive better quality care, either measured by 1- or 12-month mortality rates. In terms of treatment expenditure, our results indicate no difference between non-profits and for-profits index admission expenditures, and at most 10% higher long-term expenditure for patients admitted to non-profits than to for-profits.

HAPPINESS AND DOMAIN SATISFACTION IN TAIWAN

Happiness and life satisfaction are two empirically correlated but nobreak conceptually different measures of well-being. As an emotional state, happiness is sensitive to sudden changes in mood, whilst satisfaction is regarded as a cognitive or judgmental state. Using estimations from two empirical models, the aim of this study is to examine the determinants of happiness and satisfaction amongst nobreak Taiwanese people in a number of life domains. First of all, we attempt to investigate the individual characteristics of happiness by using an ordered probit model. Secondly, using ordinary least squares, we include an individuals value or attitude variables as nobreak determinants of the level of satisfaction with different life domains.Our results suggest that higher income is associated with a higher level of subjective well-being. Measures of comparison income are significantly negatively correlated with the reported level of happiness and job satisfaction, which supports the hypothesis that well-being depends on income relative to a reference group. Consistent with the results from other countries, married people report a higher degree of happiness and satisfaction, whilst the past experience of unemployment significantly reduces subjective well-being. There is little gender difference in happiness or satisfaction with different domains. Furthermore, individuals personal values have strong effects on both marital satisfaction and job satisfaction. The findings of this paper confirm that the effects of personal characteristics are fundamentally different in terms of happiness and satisfaction with specific domains of life.

Export activity and productivity: Evidence from the Taiwan electronics industry

ConclusionsWe use plant-level panel data for the Taiwanese electrical machinery and electronics industry to examine productivity differentials between exporters and non-exporters. Consistent with other recent literature, we find that exporters are larger, pay higher wages, undertake more investment expenditures in machinery, equipment, and new technology, and are substantially more productive than non-exporters.

Do small plants grow faster? Evidence from the Taiwan electronics industry

Abstract The relationships between plant size, age, labor productivity and growth rates are examined for a sample of Taiwan electronics plants. Plant growth is negatively related to both size and age, and positively related to labor productivity.

Smoking, health knowledge, and anti-smoking campaigns: an empirical study in Taiwan.

This paper uses a measure of health knowledge of smoking hazards to investigate the determinants of health knowledge and its effect on smoking behavior. In our analysis, two equations are estimated: smoking participation and health knowledge. The simultaneity problem in estimating smoking behavior and health knowledge is also considered. Overall, the estimated results suggest that anti-smoking campaigns have a significantly positive effect on the publics health knowledge, and this health knowledge in turn, has a significantly negative effect on smoking participation. The health knowledge elasticities of smoking participation are -0.48 and -0.56 for all adults and adult males, respectively.

Risk perception and smoking behavior: Empirical evidence from Taiwan

This article uses survey data obtained from Taiwan to investigate consumer perceptions of smoking risks and the linkage of these perceptions to smoking behavior. In our analysis, two equations are estimated: (1) risk perception, and (2) smoking probability. The simultaneity problem in estimating risk perception and smoking probability is also considered. Overall, the results indicate that the risk perceptions of cigarette smoking are substantially overestimated and that these risk perceptions in turn, have a significantly negative effect on smoking probability. Also, the results suggest that the determinants of risk perception are consistent with the predictions of a Bayesian learning framework.

THE PRICE ELASTICITY OF OPIUM IN TAIWAN, 1914-1942

Between 1895 and 1945, the Japanese colonial government virtually eliminated opium use in Taiwan by licensing and treating existing users, prohibiting sales to others, and raising the price. We evaluate these policies using a two-part model to describe the fraction of the population using opium and consumption among users, and the rational addiction model by Becker et al. (1991). We confirm that opium is addictive and find no evidence supporting the rational addiction hypothesis. Demand is price-elastic with estimated short- and long-run demand elasticities of -0.48 and -1.38. These results have implications for control of other addictive substances.

Contingent valuation of a Taiwanese wetland

Wetlands provide a variety of important environmental services including flood control, wildlife habitat, waste treatment, and recreational opportunities. Because most of these services are public goods, the value of wetland preservation cannot be directly obtained from market prices but may be estimated using revealed-preference or stated-preference methods. We estimate the value to local residents of protecting the Kuantu wetland in Taiwan using contingent valuation. Estimates are sensitive to question format, with estimates using a double-bounded dichotomous-choice format about three times larger than estimates using a single open-ended question. Using the open-ended format, the estimated annual mean household willingness to pay to preserve the Kuantu wetland is about US

Academic achievement of twins and singletons in early adulthood: Taiwanese cohort study.

21. Using the dichotomous-choice questions, the value is about US